Related Quotes

Company Profile

Between now and then the committee would draw up a hearing list and work out a strategy of inquiry, Mr Oakeshott said.

ANAO released its audit report last month on the bungled tender process for the taxpayer-funded Australia Network service.

The report catalogued a damning lack of proper process and perceptions of a conflict of interest, while highlighting deep divisions in the government over the tender.

ANAO found the Australia Network tender was conducted in such a way as to question the ability of the government to deliver such a sensitive, high-profile selection process “fairly and effectively".

Cabinet twice overruled expert advice that pay TV producer and broadcaster Sky News be given the 10-year contract, then aborted the tender process and gave the ABC the job after all. The ANAO concluded the tender process created delays and unnecessary multimillion-dollar costs for the bidders, public broadcaster ABC and the Australian News Channel.

ANC is a joint venture between Nine Digital (a division of Nine Entertainment Co), Seven West Media and British pay TV company British Sky Broadcasting (of which News Corp owns 39 per cent).

ANC owns and operates the Sky News channel.

The government reportedly paid ANC $2 million in compensation for costs incurred by the commercial 24-hour news broadcaster during the aborted tender process.

Angelos Frangopoulos, the chief executive of ANC, said he could not comment on Mr Oakeshott’s committee inquiry until he had further details.

Opposition communications spokesman
Malcolm Turnbull
said: “I welcome the decision by the public accounts committee to further investigate the Australia Network tender.

“This bungled tender has been one of the worst examples of the Rudd-Gillard government’s dysfunction."